BEFORE THE DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, D.C.

__________________________________________ Application of

FEDERAL EXPRESS CORPORATION Docket OST

- 96

- 1530
for renewal of a certificate of public convenience and necessity pursuant to 49 U.S.C. § 41102 (U.S.

- China All

- Cargo Service)

___________________________________________ APPLICATION OF FEDERAL EXPRESS CORPORATION FOR RENEWAL OF CERTIFICATE AUTHORITY
Communications with respect to this document should be sent to:

G. Bailey Leopard, Jr. Lead Counsel FedEx Express 3620 Hacks Cross Road Building B , 3 rd Floor Memphis, T ennessee 38125 (901) 434

- 6664 (office) (901) 434

- 8283 (fax) gbleopard@fedex.com (e

- mail)
Attorney for FEDERAL EXPRESS CORPORATION

FEDE X EXPRESS REQUES TS THAT THIS APPLICATION BE PROCESSED THROUGH EXPEDITED NONHEARING PROCEDURES PURSUANT TO SUBPART B OF THE PROCEDURAL REGULATIONS OF THE DEPARTMENT.

NOTICE: Any person may support or oppose this Application by filing an Answer and serving it upon all persons listed on the attached Service List. Answers to this Application are due to be filed on December 1 7 , 2013

.
November 26, 2013BEFORE THE DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, D.C.

__________________________________________ Application of

FEDERAL EXPRESS CORPORATION Docket OST

- 96

- 1530
for renewal of a certificate of public convenience and necessity pursuant to 49 U.S.C. § 41102 (U.S.

- China All

- Cargo Service)

___________________________________________
Nove mber 26, 2013

APPLICATION OF FEDERAL EXPRESS CORPORATION FOR RENEWAL OF CERTIFICATE AUTHORITY
Federal Express Corporation ( FedEx Express) hereby applies, pursuant to 49 U.S.C. §
41102 and Subpart B of the Procedural Regulations (14 C.F.R. Part 302.201, et seq. ) of the
Department of Transportation (the Department), for renewal of its Certificate of Public
Convenience and Necessity for Route 638, authorizing FedEx Express to provide scheduled
foreign air transportation of property and mail between a point or points in the United States, via
any intermediate points, to a point or points in China open to scheduled international operations,
and beyond to any points outside of China, with full traffic rights. Renewal of this certificate
authority would be cons istent with the public interest and Department precedent.
FedEx Express requests that its U.S.

- China Certificate for Route 638 be renewed for an

additional five

- y ear period, through May 25, 2019 , or such longer term as the Department may
deem appropriate

. FedEx Express further requests the right to continue to integrate suchFedEx Express Application U.S.

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authority with its other certificate and exemption authority to provide foreign air transportation.
FedEx Express will accept the standard condition that any services operated pursu ant to such
route integration authority be conducted in accordance with all applicable agreements between
the United States and the foreign countries to which such services are operated.
FedEx Express also requests that this application be processed purs uant to the expedited

non

- hearing procedures established in Subpart B of the Procedural Regulations of the
Department.
In support of this Application, FedEx Express states as follows:

1. FedEx Express is a citizen of the United States, as defined in 49 U. S.C. §

40102(a)(15). It is a corporation duly organized under the laws of the State of Delaware with its
principal offices located at 3610 Hacks Cross Road, Memphis, Tennessee 38125 , and is a
wholly

- owned subsidiary of FedEx Corporation, which is a corpor ation duly organized under the

laws of the State of Delaware . Its president and at least two

- thirds of its board of directors and
other managing officers are citizens of the United States, and it is under the actual control of

citizens of the United State s. At least 75 percent of its voting interest is owned or controlled by
persons that are citizens of the United States.

2

. FedEx Express is an air carrier of property and mail in scheduled air
transportation, operating such services between numerous poin ts in the United States pursuant to

an All

- Cargo Air Service Certificate issued under 49 U.S.C. § 41103, and in numerous
international markets pursuant to various Certificates of Public Convenience and Necessity
issued under 49 U.S.C. § 41102 and specific grants of exemption authority pursuant to 49 U.S.C.

§ 40109.FedEx Express Application U.S.

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3

. FedEx Express currently holds certificate authority to provide scheduled all

- cargo
service between the U.S. and China pursuant to its Certificate for Route 638, which was most
recently renewe d and reissued to FedEx Express for a five

- year term expiring on May 25, 2009,
by Order 2004

- 5

- 23, served May 28, 2004. Subsequently, FedEx Express filed for a renewal of
this authority in t his docket on November 20, 2008 , extending its authority pursuant to
Department rule.

4

. FedEx Express operates various gateways and FedEx Express hub airports in the
United States and the cities of Beijing, Guangzhou, Shanghai an d Shenzhen in China, via
intermediate points and to beyond points. The all

- cargo service operated by FedEx Express

between the United States and China links China to the FedEx Express global network, including
its European hub in Paris, its Asia Pacific h ub in G uangzhou, China , its SuperHub in Memphis,

and other major air freight sorting and flight operation hubs throughout the U.S. and the rest of

the world. That global network enables FedEx Express to provide air express and expedited air

fr eight service between the major cities of China and the entire United States, and between China
and points throughout the worldwide operations of FedEx Express

.
5

. G rant of the requested authority wi ll not result in any material change in the
annual fuel consumption requirements associated with the operations of FedEx Express , and thus
will not constitute a “major regulatory action” under 14 C.F.R. § 313.4(a)(1).

6

. The authority requested herein is wholly consistent with the route rights and other
provisions of the existing U.S.

- China Air Transport Agreement , as amended, and FedEx Express
has been formally designated through diplomatic channels to C hina as a duly

- authorized U.S. all

cargo air carrier pursuant to the agreement.FedEx Express Application U.S.

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7

. FedEx Express is fit, willing and able to perform the air transportation applied for
herein and to conform to the provisions of the Federal Aviation Statutes and the rules,
regulations, and requirements of the Department th ereunder. To the extent necessary, FedEx
Express requests the Department to take official notice pursuant to Rule 24 of the Procedural
Regulations of the extensive data on file at the Department, including the Form 41 reports filed
by FedEx Express and ot her evidence s ubmitted by FedEx Express in competitive carrier

selection and frequency

- allocation proceedings, which conclusively establishes the fitness of
FedEx Express to operate the services at issue. See e.g.
, U.S.

- China air services proceedings in

D ockets OST

- 2004

- 18468 and OST

- 2004

- 19077.

8. FedEx Express hereby invokes and relies upon the provisions of Section 558(c) of
the Administrative Procedure Act, 5 U.S.C. § 558(c), as implemented by Part 377 of the
Department’s Special Regulations, 14 C.F.R . § 377, to continue in effect its certificate authority
to serve China until the Department makes a final determination o n this Application. In
accordance with Section 377.10(c), this renewal application is being filed more than one hundred
and eighty (1 80) days prior to the expiration date of the authority at issue.

9

. Finally, FedEx Express requests that this certificate renewal application be
processed through expedited non

- hearing procedures pursuant to Subpart B of the Department’s
Procedural Regula tions. There are no issues of material fact which require an evidentiary hearing
in the case of this application, and the use of expedited non

- hearing procedures will serve the
public interest by making efficient use of the Department’s staff and resource s.
WHEREFORE, FedEx Express respectfully requests that the Department issue a renewed
Certificate of Public Convenience and Necessity for Route 638 to Fed Ex Express for anFedEx Express Application U.S.

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additional five

- year period, through May 25, 20 1 9 , or such longer period as the Dep artment may
deem appropriate.
Respectfully submitted,

/s/
G. Bailey Leopard, Jr. L ead Counsel
Attorney for FEDERAL EXPRESS CORPORATIONFedEx Express Application U.S.

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CERTIFICATE OF SERVICE

I he reby certify that I have this 2 6 th day of November, 20 13 , served a copy of the foregoing Application of Federal Express Corporation for Renewal of Certificate Authority upon each person listed below in the manner indicated, as required by 14 C.F.R. § 302.203.

____ /s/

___________________________________ G. Bailey Leopard, Jr.

Edward W. Sauer Counsel for Evergreen International Airlines, Inc. esauer@ssd.com (via e

- mail) C. Blair Berselli Evergreen International Airl ines, Inc. blair.berselli@evergreenairlines.com (via e

- mail)

Mark W. Atwood Counsel for Kalitta Air, LLC matwood@sherblackwell.com (via e

- mail) Sascha Van der Bellen D elta Airlines, Inc. sascha.vanderbellen@ d elta .com (via e

- mail)
Kevin P. Montgome ry Polar Air Cargo, Inc. kevin.montgomery@polaraircargo.com (via e

- mail) Pierre Murphy Counsel for TradeWinds Airlines, Inc. pmurphy@lopmurphy.com (via e

- mail)

D ontai Smalls United Parcel Service Co. d sma lls @ups.com (via e

- mail) Howard Kass U.S. Airways howard_kass@usairways.com (via e

- mail)

Dan Weiss U nited Airlines dan.weiss@ u nited .com (via e

- mail) Bob Wirick American Airlines robert.wirick@aa.com (via e

- mail)FedEx Express Application U.S.

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John Kish Executive Director Indianapolis International Airport 2500 South High School Rd., Suite 100 Indianapolis, IN 46241

– 4941 (via U.S. mail) Larry D. Cox, A.A.E. President & CEO Memphis

- Shelby County Airport Authority 2491 Winchester Road, Suite 113 Memphis, Tennessee 38116 (via U.S. mail)

Steven Grossman Director of Aviation Oakland International Airport 1 Airport Drive Oakland, California 94621 (via U.S. mail) Anchorage International Airport Attention: Director P.O. Box 196960 Anchorage, Ala ska 99519

- 6960 (via U.S. mail)

Susan M. Baer, General Manager Newark Liberty International Airport Building #10 The Port Authority of New York and New Jersey, Newark, New Jersey 07114 (via U.S. mail)

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